A controversy is brewing in Derry over the proposed closure of a small but popular community library.

The 135-year-old Taylor Library serves east Derry, but it's just 2.5 miles from the town's newer, larger municipal library, and the town administrator has suggested cutting it out of the budget.

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"It's just a small, intimate place that makes little ones especially very comfortable because it's sort of a home atmosphere," said Kim Burke, a Taylor Library trustee.

Burke said her two boys, along with countless other children, have nurtured a love of reading and community in the library's 1,300 square feet.

"The minute they walk in the door, they're greeted by name," she said. "When it's their birthday, the librarians know it ahead of time."

That sentimental attachment is fueling a strong reaction to Derry's proposed budget, which eliminates the library's $176,000 appropriation.

Town Administrator John Anderson said that keeping the library open would contribute to a tax increase of 17 cents per $1,000 of assessed value. If it's eliminated, taxes would go up 9 cents per $1,000.

Those who back the cut said the newer library down the road will serve the town.

"A personal opinion -- I don't think the town is big enough for two libraries," said resident Pat Patterson. "So, if it's going to save the town money, fine."

Supporters of the Taylor Library point to its crowded children's reading hours and long history. The building dates to 1929, when it was built with funds donated by the uncle of future astronaut and first American in space Alan Shepard.

"His grandmother was the librarian here, and he helped her move the books in a human chain across the street to fill this library," said library director Linda Merrill.

Town councilors said they understand the library is a hot-button issue with motivated constituencies on both sides.

"Lower property taxes or more services?" said Councilor-at-large Mark Osborne. "And right now, we've got to find a balance between those two."